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Donald Trump Lawsuits in US Branding Cases May Create Asian Wave

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Posted: 06 Jun 2009 | 9:09 am

Real estate mogul Donald Trump's various litigation cases in the US involving purchasers of units in failed projects where he licensed his name may see the trigger of similar 'brand licensing' litigation here in Asia. There has been a wave of 'hotel branded' property sold all over the region and here in Thailand which has been sold back of pricing premiums for international operators and use of their names.

Historically both the US and Australia have seen consumer cases prosper against hotel operators who cite a variety of issues ranging from anticipated returns, to inducement along with selling of securities by non qualified real estate brokers. Donald Trump is now experiencing the downside of his predominate brand name where he often simply sold 'Trump' to projects being developed entirely by separate entities.

With more and more branded projects now stalled here in Asia, it will be interesting to see exactly how legal advisors of buyers are looking to take action against not only sellers but also the widening of liability claims.

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